How to Correct a Check Applied to the Wrong Invoice in Sage 100 Cash Receipts Entry
While processing accounts receivable, a common yet easily rectifiable mistake involves applying a check to the wrong invoice during the Cash Receipts Entry process. This sort of data entry error, if not addressed promptly, can lead to discrepancies in your AR, wasted time calling customers who have already paid, and could potentially impact financial reporting.
If you would like to learn how to identify and correct a payment that has been applied to an incorrect invoice in Sage 100, then read on!
Here we cover the necessary steps to reverse the original transaction and correctly apply the check, ensuring that your accounting records remain precise and up-to-date.
Create a zero cash receipt using the same dates and check number as the original cash receipt.
Open Accounts Receivable | Main | Cash Receipts Entry. When the A/R Cash Receipts Entry Batch window displays:
Click the Next Batch button then click Accept.
In the Cash Receipt Deposit window, create a deposit.
Click the Next Deposit Number button.
Enter a description.
Select a bank code.
Enter the deposit date (this date should be the same date as the ORIGINAL Cash Receipt that you are reversing).
Enter the cash deposit amount as ZERO.
Click “Accept”.
On the Header tab:
Select the customer number.
Select deposit type, CASH.
Enter the check number in the Check Number field.
Enter the amount received as 0.00.
Click the Lines tab:
Enter the incorrect invoice number related to the payment being reversed.
In the Amount Posted field, enter the amount as a negative.
Enter the correct invoice number related to the payment being reversed.
In the Amount Posted field, enter the amount as a positive.
Click Accept to save the entry.
Print and update the Cash Receipts Journal.
If you have further questions regarding how to correct Sage 100 Accounts Receivable entries, we at Ardent Consulting are at your service. Our team of experts is ready and eager to help you navigate your business’ challenges and optimize its potential. We prioritize your business’ health and are committed to supporting your journey every step of the way.